Preparing to Open a Nonprofit
by Retta Parsons | September 4, 2024
There are several things that can be done in advance to prepare for a goal of opening a successful nonprofit organization. The most beneficial, yet time consuming, factor is to work in the nonprofit industry for a few years with employment in several different positions. Some of the key roles are fundraising, communications, administrative, and grant writing.
Fundraising
Fundraising for a nonprofit organization is a never-ending task. (Remember the Public Support test?) It does not matter whether one is “good at it” or “interested in it.” Keep in mind that if the organization does not have the funds to efficiently and effectively operate, the people it serves generally get less than adequate help. It is true that a portion of the role of board members is to fundraise for the organization. However, the reality is that very few board members will address or fulfill that responsibility. There are board members who will donate more to the organization in lieu of fundraising. While funds are always helpful, that approach does little to further the reach of the organization, and its cause, in the community at large.
Communication
Exposure to professional communication activities in an organization is invaluable. Community image is extremely important to a nonprofit organization where competition for donations is fierce. Donors and sponsors are looking to address causes to increase their positive exposure in the community. Good communication can maintain positive branding and provide donors and sponsors the opportunity to address peoples’ needs while increasing their positive exposure throughout the community.
Administrative
Spend time working in the backroom. What this entails are such items as bookkeeping, record keeping, greeting the public, etc. This gives a close look at such things as the difference between donor, client, and public relations. It can expose one to the realities of a nonprofit organization budget versus its actual day-to-day financial situation. Another important skill learned is what sort of documentation is needed for annual audits and how long those items must be kept.
Grant Writing
Grant writing and administration is a skill. It takes education, mentoring, time and practice to become effective. It is one way to bring program opportunities to the people that are served. Some years donors and sponsors are not able to assist as much as they would like. Diversification of funding streams is important for any business. Why should that be any different for a nonprofit?
How to Meet Community Needs Without Opening a Nonprofit
If it is not the right time to open a nonprofit organization, there are still several ways that one can be of great benefit, including the following:
- Donate to and volunteer with a well-run organization addressing the same community needs. Do a market analysis. Who serves the cause in which you are passionate? There are several good websites that provide information, and 990’s, for potential donors and volunteers to review before becoming involved. To start, visit the websites of organizations like Charity Navigator and Candid (formerly GuideStar).
- Follow the social media sites of nonprofits with whom you would like to affiliate. Share and like their posts. Promote the organization’s website and the programs they provide to the community.
- Assist with fundraising efforts. For example, if an organization is holding a 10K race to raise funds, promote that opportunity to friends, family, colleagues, and others. Take the opportunity to show your support and increase the community’s participation in the organization.
Nonprofit is a business sector unto itself. The nonprofit industry is a large employer in the United States that oversees meeting the needs of community members. One way to be of service is to open a local nonprofit organization. Therefore, make sure you are aware of some of the key roles including fundraising, communications, administrative, and grant writing.
Retta Parsons
Consultants, Hillsborough, ParsonsFlorida SBDC at Hillsborough County
Specialty: Start-up, Bookkeeping
Retta Parsons brings a wealth of knowledge and experience in business management and public administration to her role as a business consultant. She previously served as CEO of Shiawassee United Way. In that position, she provided leadership to ensure the construction of a $26 million county medical care facility. She also led the change process and alliance establishment that resulted in the implementation of United Way 2-1-1 in Shiawassee County. Parsons also served as a training director for Girl Scouts, where each year she managed the delivery of approximately 124 trainings for more than 700 attendees. Parsons enjoys being active in the community. Past roles include chairperson for the State of Michigan, Department of Health & Human Services, Shiawassee County, board; chairperson of the Shiawassee Human Services Council; and ambassador for the Shiawassee Regional Chamber of Commerce. She earned a Master of Public Administration degree from Western Michigan University and a Bachelor of Arts degree in Human Resources Management from Spring Arbor College. She is a certified Child Care Facility Inspector, Instructor of Trainers, and Bridges Out of Poverty Trainer. In her spare time, Parsons enjoys bike riding with her husband, Roger, and spoiling her children and granddaughter.